Edmonton’s Rate of Inflation Remains Above the National Rate
December 20, 2011
Lower prices for electricity and gasoline in the Edmonton region brought November’s Consumer Price Index (CPI) down to 3.2% in November, but the rate of household inflation in the Capital Region remains higher than in the rest of Canada.
Edmonton’s CPI fell from 3.5% the previous month, but remains higher than the national annual rate of 2.9% for November.
“This is a welcome change from the past 12 months, which have seen a steady increase in Edmonton’s CPI from relatively low rates,” John Rose, Chief Economist with the City of Edmonton, said today.
He cautions, however, that price increases in the Capital Region continue to outpace those of Canada. “November’s CPI for our region is one of the highest rates for core inflation since 2008, and signals that cost increases are continuing to spread beyond food and energy.”
Statistics Canada uses the CPI to track the retail price of a shopping basket of goods and services for an average household, including food, housing, transportation, furniture, clothing, and recreation. The City of Edmonton also uses the Non-Residential Construction Index and other tools to more accurately predict costs of the goods and services purchased by a municipality, such as construction labour and materials, engineering and design fees, and environmental operations.
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Chief Economist, Financial Services and Utilities